Thermo Fisher Scientific (TMO): Revisiting Valuation After New Alzheimer’s Registry and Ongoing Capital Deployment
Thermo Fisher Scientific (TMO) just enrolled the first patient into its new PPD CorEvitas Alzheimer's Disease Registry, a real world data initiative that quietly reinforces the stock's long term healthcare infrastructure story.
See our latest analysis for Thermo Fisher Scientific.
That backdrop of new registries and high productivity lab platforms lands in a stock that has already logged an 18.4% 90 day share price return and a 25.59% five year total shareholder return, which suggests that momentum is rebuilding after a softer patch.
If breakthroughs in Alzheimer’s data and bioprocessing are on your radar, it is worth exploring other healthcare names using our curated screen of healthcare stocks.
Yet with Thermo Fisher trading near 567 dollars, still sitting at a roughly 6 percent intrinsic discount and 12 percent below consensus targets, investors now have to ask: is this a fresh entry point, or is future growth already baked in?
Most Popular Narrative Narrative: 9.3% Undervalued
With Thermo Fisher last closing at 567.83 dollars against a narrative fair value near 626 dollars, the storyline leans toward a premium tools leader still priced at a discount.
The company's positioning as a trusted, end to end partner for pharma and biotech enables greater customer stickiness and deeper integration into high growth markets like clinical research, outsourcing (CDMO), and lab services, enhancing recurring revenue streams and supporting high single digit earnings growth over time.
Curious how steady but unspectacular growth, rising margins and a richer earnings multiple can still justify upside from here? The full narrative explains the underlying assumptions and calculations.
Result: Fair Value of $626 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, sustained funding pressure in academic and government labs, alongside ongoing China weakness, could easily temper the margin and growth story from here.
Find out about the key risks to this Thermo Fisher Scientific narrative.
Build Your Own Thermo Fisher Scientific Narrative
If the narrative above does not quite fit your view, you can dive into the numbers yourself and craft a tailored storyline in minutes, Do it your way.
A great starting point for your Thermo Fisher Scientific research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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